Yeah, it doesn't, though.
Inflation only matters from the time you receive your paycheck to the time you invest it in productive assets or buy the necessities of life. After that it sets the benchmark rate of return for your investments.
If your salary fails to track inflation that's between you and your boss who's giving you a pay cut year over year, or between you and congress if you're under the minimum wage umbrella.
Currency only has value while its changing hands and inflation is an incentive to change hands. If you'd invested in anything at all 100 years ago you'd have just as much value as you did back then - at an absolute minimum. If you insisted on sticking a square peg in a round hole and hid your cash in your mattress the whole time, inflation did its job and took that value from you.
> This is the reason the founding fathers fought to keep central banking out of the US.
Well, they also fought for slavery, they weren't perfect people. Better to stick to arguments on their merits instead of appeal to 300+ year old authority.
Inflation only matters from the time you receive your paycheck to the time you invest it in productive assets or buy the necessities of life. After that it sets the benchmark rate of return for your investments.
If your salary fails to track inflation that's between you and your boss who's giving you a pay cut year over year, or between you and congress if you're under the minimum wage umbrella.
Currency only has value while its changing hands and inflation is an incentive to change hands. If you'd invested in anything at all 100 years ago you'd have just as much value as you did back then - at an absolute minimum. If you insisted on sticking a square peg in a round hole and hid your cash in your mattress the whole time, inflation did its job and took that value from you.
> This is the reason the founding fathers fought to keep central banking out of the US.
Well, they also fought for slavery, they weren't perfect people. Better to stick to arguments on their merits instead of appeal to 300+ year old authority.